Marketing

strategies of
MICROMAX

Presented by:
Pratik yadav
MBA 1st sem.
Roll no.-28
 Indian cell phone industry

.One of the world’s fastest

growing Industry.
.Contribute 1% to the GDP
.55 out of 100 Indians carry cell
. About 20% have already
replaced their phone
. About 2.8 lakhs of cell phones
sold in every month of FY 2009-10.
. More than 25 companies manufacturing or selling
or marketing mobile phones
. Versatility- Cell phones range from Rs. 699 to Rs. 69,999
. Still no consideration for the saturation of the market.
 The prince

MICROMAX INFORMATICS was formed in 2008 with

leadership of the four people who were working in the
distribution channels of various cell phones-
1 Rajesh Agarwal 2 Sumit Arora
3 Rahul sharma 4 Vikas Jain

MICROMAX deals with only designing and marketing of

the cell phones but not with their manufacturing.
MARKET SHARES

NOKIA 52%
SAMSUNG 12%
MICROMAX 4.1%
OTHERS 31.9%
 Major impact of growing companies leaded by
MICROMAX in the market shares in last two
years
1. Reduces market share of NOKIA from 64% to 52%

2. reduces the market shares of SAMSUNG

3. Vanishes LG and SONY ERICSON .

4. MICROMAX itself become the third largest marketer.

5. Open the gateway for the Indian brands.

6. Cleared the opportunity for the newbies.

 Market shares of newbies
4.5

3.5

2.5 Market shares

2

1.5

0.5

0
MICROMAX SPICE LEMON LAVA
Marketing
Marketing strategies of

In FY 2009-10 MICROMAX made total revenue of

Rs.1650 crores with the net profit of Rs.150 crores.

MICROMAX came with all killer strategies made all the

stand for the position that they acquire today.

Their strategies can be discussed or presented in

following manner
Keeping the price low
In Rs.1700 NOKIA gives a phone with
FM radio and torch Light(4), where the SAMSUMNG gives same
features in Rs. 1500(3).
MICROMAX in Rs. 1700 gives a phone with MP3 player, Radio,
VJA camera, expandable memory , dual sim etc(7).

NOKIA does not gives any CDMA phone below Rs. 3500,
Where both CDMA models of MICROMAX are in the range
Below Rs. 2000.
Example are not enough to justify the low price
of the MICROMAX each and every one here and in the
market know the fact that cell phones of MICROMAX is quit
are cheaper than that of giants.
Keeping the price low helped MICROMAX in cut down strategy
which has been the man reason for the success of the MICROMAX
over the high priced hand sets.

Considering the QWERTY Phones , NOKIA QWERTY phones start

from the range of Rs. 8700 where the QWERTY specialist
BLACKBERRY starts their phone from the range of Rs.12500. now
comparing these phones to that of MICROMAX which start from the
range of Rs. 3700

How it effects the psychology of consumer ?

So now what the company has to do the next is they need not to
compare the phones to that of giants , but they have to get their
phones better than that of low priced phones of Karban , Lava
Lemon etc .
First mover
Advantaging
Strategies-

1- OMH
2- Gamolution
3- Marathon battery
4- Phone with remote control of AC and TV etc.
5- Phone designed as Accessories.
Product Variation- In two years of life Micromax has
launched 37 phones 34 out of which are still there in market.
None of new or domestic companies have even the half of the no. of
products as MICROMAX does have.

With the experience of distribution channel these people have

segmented the products so well that they can command the market
and demand and supply very well.

DUAL SIM- out of 37 MICROMAX have launched 23 phones with

dual sim.
MICROMAX has 9 cell phones with QWERTY keypad
26 phones with remote function to AC and TV.
4 phones as open market handsets i.e. (GSM+CDMA)
20+ multimedia phones.
 Rural Marketing
The market which seeks VALUE FOR MONEY and
MANY MORE.
This is the forte of MICROMAX.
The % of sells in the rural market is much healthier
any other company.
Present day MICROMAX has more than 8 cell phone
pricing lower than Rs.2000 and around 18+ cell phones
pricing lower than Rs.4000.
India is the country of villages, and these villages may
not have the electricity for more than 13 hrs/month
(BIHAR), 11hrs/month (RAJASTHAN) and thousands of
villages without electricity, mobile tele
communication is also the demand of people living here
For which company has launched two cell phone which
has a stand by power back up of 30 days.
In India this is the future market.
Advertisement
We are going to deal with Bollywood and Cricket
in
the big way- Prateek seal
In FY 2009-10 MICROMAX has made the net profit of Rs.
150 crores, and they have also said that their annual
budget of advertisement is going to be Rs.100 crores.

MICROMAX has divided their advertisement and

promotion strategies in two segments.

1- Bollywood
Brand ambassadors- Akshay and Twinkle
currently MICROMAX has sponsored IIFA 2009 and varrious
other bollywood events.
2- cricket
MICROMAX has sponsored a cricket event for the 1st time
for last IPL.
from then till today MICROMAX has sponsored 304 hours of live
cricket action.

MICROMAX has sponsored the 1st ODI tournament between

South Africa and India few months back. That was the tournament
where Sachin Tendulkar scored the 1st double hundred in ODI cricket
history.
From then till today Sachin have not played a single ODI game
where the MICROMAX has well sponsored 5 back to back Indian
international cricket tournaments-
1- IND ZIM SRI ODI tri series. 2- ZIM T20 tournament
3- Asia cup. 4- IND SRI NZL ODI tri series
5- IND SRI Test series
Long term strategies
with a start of bang MICROMAX
is well ahead of other companies with whom it started its
journey.
now it is right time for MICROMAX informatics to fly
high which is successfully being done itself.
Now days the
higher level employer and board of persons is exploring the
market very well.
for which they are making various
movements , few of them are mentioned in coming slides.
 AS MULTINATIONAL COMPANY

After rocking the Indian market MICROMAX is well set to fire

as multinational firm.
MICROMAX has well started selling
in Bangladesh, Nepal and Sri Lanka. By the end of this year
they are going to launch their products in Middle east and
then onwards they are looking for Africa and Latin America

MICROMAX in Sri Lanka- MICROMAX did every thing perfect

to launch their product in Sri Lanka, they successfully sponsored three
major cricketing tournaments and earned a lot of fame and then they
launch their product .
Now they are making maximum returns from Sri Lanka
considering the foreign countries.
 Million dollar deal
MICROMAX is all set to fire, In the 1st month of 2010 company
has sold less then 10% of stake to the American based private equity
invester TA Associates for two billion Rupees (44 million dollars)

MICROMAX as manufacturer
Looking at the long term prospect company is ready to set a
manufacturing plant in India itself. For which they have bought land in
Baddi , Himanchal Pradesh.
Before that company use to market and
design the product and they use to import the products from China,
South Korea, Taiwan etc.
New products-
After making a stand in cell phone
market , MICROMAX is now days also into the marketing
of data card or pluck to serve, which they have started few
months earlier this year
Latest news-
In the press release of last week of
September IDC chairman Bhattnagar said that the market
shares in 1st half of 2010 of NOKIA rapidly gone down to
36.3% , where the market share of MICROMAX has
increased by 50% during the same period.
NOKIA officials
are currently denying the report, but they are looking for
new CEO for the country
References:
www.micromaxinfo.com
www.google.com
www.timesofindia.com
Business standards
Business Enviourment
IMRB
www.hotspot.com
www.searchurcell.com
www.infibeam.com
www.mobile.sulekha.com
www.crickinfo.com
www.exchange4media.com
www.topstep.com
The mobile store Rathyatra Varanasi